In order to achieve the target of 8.2 per cent Gross Domestic Product (GDP) growth rate in fiscal 2020-2, the government must ensure job security and create job opportunities in the private sector.
Experts opine that achieving the target GDP growth rate will be a challenge considering the effects of the coronavirus pandemic on the country’s business sector. Most businesses have suffered huge losses due to the financial crisis caused by the outbreak of the virus.
A major problem for our country is the rate of unemployment among those with higher education degrees. Many young people with higher education degrees are choosing to emigrate abroad. Therefore, Bangladesh is losing out in terms of skilled labor force, simply due to the lack of suitable employment opportunities for white collar workers.
If more people end up losing their jobs
due to coronavirus, the GDP growth rate
target will not be achieved
The rate that the country holds is absolutely unacceptable and the government must ensure the creation of white collar jobs in the coming years in order to sustain our current economic growth.
Furthermore, there is a lack of scope for interested investors in the business sectors. Rampant corruption in the business regulation government agencies and barriers to entry in several key industries is responsible for this state.
In order to abate this issue, the government must subsidize the relevant industries and provide ample opportunities for investors. This way, the amount of jobs created in the market would undoubtedly double or even triple.
The importance of ensuring job security for existing job holders cannot be emphasized enough. If more people end up losing their jobs due to coronavirus, the GDP growth rate target will not be achieved. More people losing their jobs will bring down the consumer spending which will create a negative impact on the economy.
In order to ensure inclusive economic growth, the government has finalized an employment-oriented budget for the next fiscal year. However, further allocation of budget may be required to help boost industries which will create more employment opportunities.